San Diego gay realtor has a few tips for those of you thinking about buying a condo. The process of buying one is a little more complex than buying a house just simply because additional factors that may affect the property’s affordability or your desirability to live there may come into play.
Before you buy into a condo you should be able to find out some information about its history. A San Diego gay realtor will procure the HOA (Home Owners Association) declarations and by-laws from the condo association management company. You should also be able to procure any past “meeting minutes” including the last “annual meeting minutes” which will show what has happened in the previous 12 months, and what is planned for the new year. This is important because if you buy into the building you will be required to join the board as a condition of sale.
San Diego gay realtor advises buyers to look carefully at these documents because they can tell you all kinds of things about the condition of the building from noise, water pressure and HVAC systems, to smelly garbage, bed bugs, leaky roofs, mold, etc., any kind of problem that may plague those who live in communal situations. This is the type of information that is not necessarily proffered by the seller of the condo so be sure to ask your real estate agent to procure these documents so that you know what you are getting into before you make a down payment.
It is also important to ask about the state of the condo association’s finances ~ you should as part of your purchase contract receive a copy of the HOA’s financials. There should be ten to twenty percent of the cost of fixable systems and items in the condo’s reserve account (often this is a number mandated by law, ask your San Diego gay realtor. This money is intended to fix things such as lobby fountains, elevators, plumbing systems, intercom systems and money budgets for capital improvements, and more. The older the building is the more money you should expect to see in the condo association’s coffers – is the roof in need of replacement? And is there $65,000.00 in reserves just for that (as an example). The reason that this is so important is obvious; you are investing in a building and there should be enough money to afford the upkeep in the communal pot.
It is also best to invest in a condo where the HOA fees are lower. If the HOA fees are high it could mean that the building is expensive to maintain, has deferred maintenance they are trying to catch up with, and or is just managed poorly. However sometimes higher fees mean that the building is better managed so this is another factor to consider when you look at the age of the building and everything to do with the structure that might need to be maintained.
Another thing that you need to have your San Diego gay realtor look into is how many tenants there are in the building. If there are a lot of tenants this can mean some disruption in lifestyle in terms of noise and other problems, tenants just don’t take care of a property as well as owners.
San Diego gay realtor also advises that you do not buy a condo with the idea of making it into an investment property that earns you income, unless you know for sure that the condo association will not be prohibiting renting out the units in the near future.
Don’t let the article make you nervous, I actually love condominium living… lock, leave and travel! Just make sure you and your realtor are doing all your homework.